United Health Care - Opting Out of Most Exchanges!

[AllenChicago]

March 27, 2013

Humana's CEO says that Humana will only be in 10 state exchanges at most. Focusing on the "biggest" states.

Excerpt: "Broussard: We're not revealing the 10 states. These are states where we have a significant presence today and states where we feel that we can offer the best plan for members that participate in the exchange. It's really the bigger states that we're focusing on."

Source: Humana's CEO on Obamacare: 'We're Concerned About What We Don't Know' - Knowledge@Wharton

-ac

 

[Yagents]

Here's a comment that caught my eye, and is something I thought all along. It's the same for agents with multiple state licenses. Glad AZ and FL are both federal exchange bound. And Humana is pretty big in both states.

Knowledge@Wharton: I'm guessing that some of these states will be state-established exchanges, and some federal-established. Do you have any sense of which will be better for you in terms of a business model?
Broussard: I don't know if one is better than the other from a financial point of view or, for that matter, ease of use. But we do think that a federal-funded exchange is easier for us because we have to deal with the rules of one exchange as opposed to dealing with the multiple rules of each state.

 

[AllenChicago]

AETNA seems to be thinking along the same lines as Humana. They are limiting their exchange participation to a maximum of 15 states.

"Aetna revealed in its presentation to investors that the company expects to participate in the individual exchanges in up to 15 states in 2014, but may withdraw from markets where the investment doesn't pay off."

Source: Industry Analysts: Premium Rates Will Continue to Rise Under Obamacare | Heartlander Magazine

-ac

 

[Yagents]

Don't expect them to participate in 2015 either:

Carrier mum on public exchange strategy | LifeHealthPro

 

[Cornelius]

As usual when society or industry won't do something the Gov will step in. Get ready for single payer in the future.

 

[kgmom219]

There's no reason for them to go in 2015. They have never been a major player in the individual market (its why they bought Golden Rule and proceeded to really screw that up) and SHOP credits phase out in 2016. They are making a fortune in the ASO and Senior market. Why mess with success?

 

[somarco]

UHC diversified into health care related lines several years ago. Data collection and management. Selling data to carriers.

 

[SamIam]

I haven't quoted them in years because in Chicago they suck (Golden Rule) Went to quote them today and I didn't realize they weren't playing ball.

 

[AllenChicago]

I haven't quoted them in years because in Chicago they suck (Golden Rule) Went to quote them today and I didn't realize they weren't playing ball.

I put a client on UHC/GR in mid-December. He went from "Pending" to non-existent in all reports. The client received his welcome kit and cards. I Can't get through to UHC/GR now that they're dismantling their Individual Market division. Thank goodness he's the only one I placed with those morons.

 

[somarco]

dismantling their Individual Market division.

Fact or speculation?